Sources from State owned National Insurance Company told that in order to mitigate the losses, the company could hike the rates of health insurance premium and according to the sources from their head quarter; this increase can range from 20% to 40%. Further on this, Mr. Ashok K. Roy, Chairman of General Insurance Corporation said that there is an urgent need for raise of health tariff for insurance companies and at the same time hospital should reduce their cost.
National Insurance Company (NIC) was incorporated on 6th December 1906 and today it stands tall as the oldest insurance company in India and the only Company among 24 life insurance and 27 non-life insurance companies to be headquartered in the Eastern part of the country. It is also the first general insurance provider to introduce Customization of Products to suit the need of the Customers both Urban and rural.
On condition of confidentiality a senior official from National Insurance Company said that if IRDA approves the rate hike without any remarks or conditions then the implementation of increased tariff could be put into operation from as early as April 2013.
Both private and public sector general insurers had time and again approached the market regulator for 10-40 % upward revision in health insurance tariff to tone down the losses.
At the time of speaking at an interactive session of Indian Chamber of Commerce, Chairman and Managing Director, Mr. Chandragupta said that they anticipate market regulator – Insurance Regulatory and Development Authority (I.R.D.A) to give approval regarding rate hike on health insurance tariff in a very short time.